Adjustments in Demand during Lithuania’s Economic Transition

Ferdaus Hossain, Helen H. Jensen
February 1998 [98-WP 190]

Significant economic changes have occurred in Lithuania since 1992. Major market reforms were introduced through phased liberalization of producer and consumer prices. In this study, panel data from a Lithuanian Household Budget Survey conducted during 1992-94 were used to estimate demand parameters for aggregated commodity groups. The researchers evaluated consumer demand behavior during the period of economic transition and assessed the effects of the economic changes on Lithuanian households.